flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Report: Spending spree on new buildings a risky venture for some U.S. universities

University Buildings

Report: Spending spree on new buildings a risky venture for some U.S. universities

Higher education institutions continue to add new buildings in spite of increased stress on facilities management budgets, according to a new report from Sightlines.


By Sightlines | January 31, 2018
Report: Spending spree on new buildings a risky venture for some U.S. universities

Photo: Pixabay

Many North American colleges and universities are pursuing a high-risk strategy to build new campus facilities as a way to reverse lagging student enrollment, according to a new report from Sightlines, a Gordian company and a facilities intelligence and analysis firm focused on higher education institutions.

The 2017 State of Facilities in Higher Education report from Sightlines found that, overall, there was more than 10% growth in campus space from 2007-2016 (the most recent period for which data is available), eclipsing enrollment growth of just 8% for the same 10-year period. This is the fourth consecutive year Sightlines has documented a trend of space growth outpacing enrollment growth on North American college campuses.

“In light of the facilities management challenges facing higher education institutions—notably large segments of aging building stock and flattening if not declining enrollment trends—it’s extraordinary to see that many higher education decision-makers are choosing to add new buildings to their campuses,” said Mark Schiff, President of Sightlines. “While our research indicates that institutions are taking steps to invest more strategically in facilities resources, the vast majority continue to underestimate the renewal needs of deteriorating spaces while pushing high-risk investments into new facilities.”

The gap between space growth and enrollment growth is even more pronounced for master’s and baccalaureate institutions. Master’s institutions saw an average enrollment growth of less than 4% from 2007-2016, but a stunning growth rate in campus space of more than 12% over that same time period. 

‘While our research indicates that institutions are taking steps to invest more strategically in facilities resources, the vast majority continue to underestimate the renewal needs of deteriorating spaces while pushing high-risk investments into new facilities.’

— Mark Schiff, Sightlines

Baccalaureate institutions have experienced minimal enrollment growth since 2007 but still averaged a 6% growth in campus space over the past decade. The only exception was research universities, where 14% enrollment growth from 2007-2016 exceeded an average of 11% growth in campus space for the same period.

Sightlines’ fifth annual report includes data from 366 higher education institutions in the U.S. and Canada, with a collective enrollment of 3.1 million students and 1.5 billion total square feet of campus space, including more than 52,000 buildings. Approximately 40% of the institutions in the study were private and 60% were public.

Other highlights in the 2017 report included the following:

• Campus facilities operations budgets have failed to keep up with inflation, creating stress on service levels. The report found that average campus facilities operating budgets rose from $5.51 in 2007 to $5.94 in 2016, a nearly 8% increase; the CPI-U as reported by the federal government over that time has grown nearly 15.5%, almost twice as much.

• A huge wave of campus facilities construction in the 1960s, which accommodated the surge in Baby Boomers, is reaching the end of its usefulness in the next decade, creating significant stress on institutions as to what to do with those buildings. This wave of aging buildings now represents 40% of the space on campuses.

• Another large wave of campus facilities construction in the 1990s-2000s will require massive maintenance outlays in the next decade, presenting a significant capital demand on institutions. This wave of further enrollment growth and expanding program demands represents another 30% of campus space.

• Many institutions are recognizing the expanding need for facilities maintenance resources and, since the downturn of 2008-09, have been increasing maintenance budgets to tackle the challenge. In fact, even in the face of tremendous space growth to match enrollment growth, facilities funding at research institutions is up 14%. While overall facilities funding levels are down from the 2007-2009 window where resources often effectively met need, funding at baccalaureate and master’s institutions has in recent years been on the rise.

• Oddly, institutions don’t extend this maintenance expansion trend to their landscape programs. In spite of the fact that landscaping is a relatively inexpensive place to invest operating dollars, grounds coverage areas have actually decreased 3-4% over the past decade.

“Given the demands of managing more space with fewer resources and at greater impact to the institution’s overall recruitment and retention goals, successful facilities departments are being pushed to develop creative responses to these challenges,” said Schiff. “Every campus we see developing effective solutions has in place programs to analyze objective data and utilize comparative metrics to track performance, communicate accomplishments and articulate needs to the community or leadership.”

Download the full report.

Related Stories

University Buildings | Mar 11, 2016

How architects can help community colleges promote community on campus

Even in the face of funding challenges and historic precedent, there are emerging examples of how partnership between two-year academic institutions and designers can further elevate community on campus. CannonDesign's Carisima Koenig has a few key examples.

University Buildings | Mar 1, 2016

The 5 most questionable college and university rankings of 2015

SmithGroupJJR's David Lantz identifies five of the most flawed higher education rating systems, including ones with arbitrary categories, and others that equate college with a transactional investment.

University Buildings | Feb 29, 2016

4 factors driving the student housing market

In the hyper-competitive higher education sector, colleges and universities view residence halls as extensions of their academic brands, both on and off campus.

University Buildings | Feb 17, 2016

New ideas to help universities attract and empower STEM students

Educational institutions are focusing on new learning strategies that engage students in activities, enable collaboration across STEM disciplines, and encourage students to use their hands just as much as their heads, as Stephen Blair of CannonDesign writes.

Multifamily Housing | Feb 1, 2016

Top 10 kitchen design trends for 2016

Charging stations, built-in coffeemakers, and pet stations—these are among the top kitchen design trends for the coming year, according to a new survey of kitchen and bath designers by the National Kitchen & Bath Association.

| Jan 14, 2016

How to succeed with EIFS: exterior insulation and finish systems

This AIA CES Discovery course discusses the six elements of an EIFS wall assembly; common EIFS failures and how to prevent them; and EIFS and sustainability.

Greenbuild Report | Dec 10, 2015

AASHE’s STARS tool highlights the university sector’s holistic approach to sustainability

Buzzwords like “living lab” and “experiential learning” are indicative of the trend toward more holistic sustainability programs that incorporate all facets of college life.

University Buildings | Nov 5, 2015

How active design is reshaping higher education campuses

Active design, a dynamic approach to design with a primary focus on people, assists students in learning to make healthy choices, writes LPA's Glenn Carels.

University Buildings | Nov 4, 2015

Yale completes Singapore campus

The Yale-NUS College has three residence halls and two administrative and academic buildings, with courtyards in the middle of them all.

University Buildings | Oct 16, 2015

5 ways architecture defines the university brand

People gravitate to brands for many reasons. Campus architecture and landscape are fundamental influences on the college brand, writes Perkins+Will's David Damon.

boombox1
boombox2
native1

More In Category




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021